Shandong eliminates outdated production capacity of 13 small refineries

Shandong Special Action Office of Chemical publicity release weekend, up to 11 month, after verification found 13 Jia 200 tons less refining capacity of the refinery business has been removed is completed.

Shandong Special Action Office of Chemical publicity release weekend, up to 11 month, after verification found 13 Jia 200 tons less refining capacity of the refinery business has been removed is completed.

Shandong has long occupied the top position in China's refining and chemical industry, with a crude oil processing capacity of up to 210 million tons per year, accounting for 28% of the country's total crude oil processing capacity .

Beginning in 2015 , Shandong took the opportunity to decentralize the use of crude oil imports and organized local refineries to declare imported crude oil on the premise of eliminating outdated production capacity.

In October 2018 , the Shandong Provincial Government issued the "Implementation Plan for Accelerating the High-Quality Development of Seven High-energy-consuming Industries", and made arrangements for the integration and transfer of local refining capacity: In 2022 , it will be implemented in densely populated cities and areas with a population of 3 million tons or less.

At present, there are only six or seven geo-refining companies in Shandong with a capacity of over 5 million tons, which means that nearly 80% of the existing geo-refining companies will be integrated and transferred in the next few years , the number of geo-refining companies will be greatly reduced, and the total existing capacity will also be reduced.

In August 2019, 10 enterprises in the province agreed to participate in the production capacity substitution of the Yulong Island project, becoming the first batch of local refinery enterprises to achieve the intention of capacity integration and transfer.

The elimination of outdated production capacity has made room for the development of the high-end chemical industry.
Yantai Wanhua Polyurethane Industry Chain Integration-Ethylene Project ( Phase I ) , Dongying Weilian 2 million tons / year PX Project ( Phase I ) and other large projects have been completed and put into production, and Yulong Island Refining and Chemical Integration Project has started construction .